Is Crave Cookies Franchising obligated to have all Crave Cookies businesses contribute to the Marketing Fund?
Crave_Cookies Franchise · 2025 FDDAnswer from 2025 FDD Document
- (d) Contribution by Other Outlets.
Crave Cookies Franchising is not obligated to (i) have all other Crave Cookies businesses (whether owned by other franchisees or by Crave Cookies Franchising or its affiliates) contribute to the Marketing Fund, or (ii) have other Crave Cookies businesses that do contribute to the Marketing Fund contribute the same amount or at the same rate as Franchisee.
Source: Item 22 — CONTRACTS (FDD page 47)
What This Means (2025 FDD)
According to Crave Cookies's 2025 Franchise Disclosure Document, Crave Cookies Franchising is not required to ensure that all Crave Cookies businesses contribute to the Marketing Fund. This means that some locations, whether owned by franchisees, the franchisor, or affiliates, may not be contributing to the fund.
Furthermore, even if some Crave Cookies businesses do contribute to the Marketing Fund, Crave Cookies Franchising is not obligated to ensure that they contribute the same amount or at the same rate as other franchisees. This creates a situation where contribution levels can vary across different Crave Cookies locations.
For a prospective franchisee, this means that the amount of marketing support they receive may not be directly proportional to their contribution to the Marketing Fund. It also highlights the importance of understanding how the Marketing Fund is managed and allocated, as the franchisor has sole discretion over these expenditures. A franchisee should inquire about the marketing strategies and how the fund is used to support individual franchise locations.